Advances in communication technology and medical technology have driven industry revenue
New York, NY (PRWEB) March 13, 2014
The Telehealth Services industry uses digital technology to deliver medical services and health education by connecting multiple users in different locations. Telehealth services include diagnosis, treatment, assessment, monitoring, communication and education. The industry includes a wide range of information, networking and digital imaging technologies, delivered primarily in three ways: videoconferencing, which provides real-time patient-provider consultations and provider-to-provider discussions; remote patient monitoring, in which electronic devices transmit patient health information to healthcare providers; and store-and-forward technologies, which transmit digital images, such as X rays, computerized tomography (CT) scans and video clips between primary care providers and medical specialists. “Technology serves as the backbone of this industry, and therefore, advancements in medical technology and telecommunications will drive industry performance,” says IBISWorld Industry Analyst Stephen Morea.
The Telehealth Services industry is rapidly expanding. Advances in communication technology and medical technology, such as wearable self-monitoring devices and digitized medical scans, have propelled the industry forward. Furthermore, industry growth has been supported by a healthcare system suffering from skyrocketing costs, a looming doctor shortage and an aging population susceptible to chronic disease. As a result, industry revenue is expected to increase by an annualized 30.7% to $320.2 million in the five years to 2014, including revenue growth of 23.1% in 2014.
“Over the next five years, the industry will continue to benefit from the demographic and structural factors affecting the healthcare industry as telehealth will emerge as a cost-effective solution to meeting the medical needs of an expanding and aging population,” says Morea. In addition, existing legislation, such as the Affordable Care Act, and pending legislation will increase federal support for telehealth services, benefiting patients, healthcare providers and industry operators. Last, future innovations will likely increase the scope and availability of telehealth services.
The Telehealth Services industry has a low level of market share concentration. Barriers to entry in this industry are moderate and potential entrants may have difficulty sourcing talent for product and software development. Additionally, this industry has a moderate degree of patent protection and new companies must develop telehealth services systems that are not in violation of existing patents. Nevertheless, this developing industry is rapidly expanding, with the number of industry enterprises expected to increase in the five years to 2019.
For more information, visit IBISWorld’s Telehealth Services in the US industry report page.
Follow IBISWorld on Twitter: https://twitter.com/#!/IBISWorld
Friend IBISWorld on Facebook: http://www.facebook.com/pages/IBISWorld/121347533189
IBISWorld industry Report Key Topics
The Telehealth Services industry delivers health-related services and information via telecommunications technologies. Services include transmission of diagnoses, exchanging health services or education, monitoring patients and providing health advice. Telecommunication methods include the use of electrical devices, such as telephones, web cameras, videoconference systems and the internet.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.